Goldman Sachs Suggests Buying Puts on Campbell Soup Company

Goldman Sachs is out with a research note this morning, where it suggests that traders buy puts on Campbell Soup Company

ahead of its analyst day. Goldman Sachs Consumer Staples analyst Judy Hong rates shares Sell and sees 7% downside to her 12-month price target of $32. She expects management to discuss a dramatic increase in marketing and selling expenses (she expects +13% YoY growth in FY2012) to drive growth after several years of cutting costs. Goldman analysts view options as attractive as they are not pricing in a significant move on their analyst day. Goldman suggests buying the July $33 put for $0.20. Campbell Soup Company, together with its subsidiaries, is a manufacturer and marketer of convenience food products. The Company operates in four segments: U.S. Soup, Sauces and Beverages; Baking and Snacking; International Soup, Sauces and Beverages, and North America Foodservice.